Binance, Coinbase come under scrutiny after latest CEX listing fee debate

• Simon Dedic accused Binance of charging high listing fees
• Industry leaders have made similar claims against Coinbase in the past

A recent revelation from Simon Dedic, CEO of Moonrock Capital, has ignited a debate over the costs and accessibility of centralized exchange (CEX) listings. 

In a post on X, he recounted a conversation with a “Tier 1” project that had raised nearly nine figures, only to find itself at an impasse with Binance. The project received a listing offer, but with a catch – Binance requested 15% of the total token supply in return. 

The demand, Dedic explained, equated to a staggering $50–$100 million. He stated,

“Not only is this unaffordable for projects, but these tokens are also the biggest reason for bleeding charts.”

Binance’s response – A defense against allegations

Binance’s co-founder, Yi He, responded swiftly, refuting Dedic’s claims and stressing that the platform’s screening process is uncompromising. She took to X and said,

“If a project does not pass the screening process, it cannot be listed on Binance regardless of the amount of money or tokens involved.”

The exec urged the community to research token distributions for projects listed on Binance to understand the transparency behind their policies.

While Binance’s Launchpool and other listing mechanisms have clear airdrop rules, she clarified that the willingness to offer airdrops does not ensure a project’s approval. 

Acknowledging that fear, uncertainty, and doubt (FUD) are constant in crypto, the co-founder encouraged users to think critically. According to the exec, rumors often stem from gossip and competition.

Binance’s listing fee

AMBCrypto also examined Binance’s 2018 policy shift regarding listing fees. The exchange committed to making all listing fees fully transparent and pledged to donate 100% of them to charity. 

Under this policy, project teams are responsible for proposing their own “listing fee,” now referred to as a “donation.” This, without any set minimum or specific amount dictated by Binance.

Claims emerge against Coinbase

After Dedic’s post, Coinbase CEO Brian Armstrong joined the discussion and assured the community that listings on Coinbase remains free. He added that

However, Sonic Labs co-founder and developer, Andre Cronje, seemed to disagree with Armstrong. He added his own concerns—This time regarding Coinbase. 

Source: X

Cronje disclosed that while Binance charged his project nothing for listing, Coinbase requested sums ranging from $30 million to $300 million. 

Justin Sun, Founder of Tron [TRX], also alleged that Coinbase required a payment of 500 million TRX (worth $80 million) and a $250 million Bitcoin [BTC] deposit in Coinbase Custody to enhance their performance.

CEXs vs. DEXs

Despite these recent criticisms, however, CEXs continue to dominate the trading landscape. According to Messari’s data, for instance, these exchanges account for approximately 90-95% of the total volume.

Source: Messari

At press time, CEXs commanded a share of $17.27 billion, representing 94.52% of the total $18.27 billion volume. Meanwhile, DEXs contributed $1 billion, or 5.48%. 

With the crypto community calling for greater transparency and fairness, the ongoing debate between CEXs and DEXs can greatly affect the future of digital asset trading.